OECD Publishes Global Deal Guidance on Deferred Tax Assets (1)

The Organization for Economic Cooperation and Development on Monday released additional administrative guidance on the global minimum tax rules including details on the deferred tax recapture rule.

The new guidance adds details on identifying and treating deferred tax assets in scope of the five-year recapture rule, which aims to limit deferred tax positions to five years under the global minimum tax framework. The guidance allow corporate groups to aggregate categories of deferred tax liabilities, which is important for calculating the effective rate for entities in scope of the tax.

The Inclusive Framework—the group of countries involved in global tax deal ...